Which of the Following Statements Describes the Applicable Standard Used

question 41

Multiple Choice

Which of the following statements describes the applicable standard used in determining the liability of a common carrier when harm befalls property that is the subject of a bailment placed in the care of the carrier?

• A) The carrier is liable only if ordinary or gross negligence can be proven.
• B) The carrier is liable only if gross negligence can be proven.
• C) The carrier is liable only if it can be proven that the carrier acted in a reckless manner.
• D) The carrier is generally strictly liable for harm to the bailed property.
• E) Because of the doctrine of assumption of risk, the carrier is not liable for harm to the bailed property.

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Definitions:

Accounts Payable

Money owed by a business to its suppliers or creditors for goods and services received but not yet paid for.

Recorded Increases

Entries in financial records that reflect an increase in assets, revenues, or any account that adds to the net worth or net income of a company.

Debited

In accounting, this term indicates that an entry has been made to the left side of an account, increasing assets or expenses, or decreasing equity, liability, or revenue.

Proprietorship

A business structure owned by a single individual, where the owner is personally responsible for the business's debts and liabilities.